Population ageing is a dominant demographic phenomenon of the 21st century. According to the latest statistical trends, two-thirds of the world’s population live in countries with below replacement fertility rates. At the same time, the average lifespan of a human being continues to increase.
Due to falling fertility rates in many countries, the population of students as well as new entrants into the workforce are in a state of year-on-year decline. In years to come, the expectation is that smaller cohorts of young people will enter the market as workers and as customers.
This phenomenon has been described as unprecedented in human history. It brings with it considerable changes in the needs of the population as well as its capacity as a whole. This undoubtedly and foreseeably has significant implications for employment, savings, consumption, economic growth, asset values and fiscal health.
Is there a problem with people living longer? It seems that the worries and fears are not only financial. There are woes surrounding friendships, health as well as cognitive and mental decline.
Fertility is the biggest factor that has been cited to solve this issue. It comes down to the local population having more children or allowing more immigrants to enter into the country and set up a life.
Women especially worry about the financial concerns as it pertains to motherhood. Traditionally, women have not had the same access to work as men and historically spent more time as caregivers, to either children or parents as well as their in-laws.